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By: Birdwell, Blanco |
S.B. No. 785 |
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(In the Senate - Filed February 8, 2023; March 1, 2023, read |
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first time and referred to Committee on Natural Resources & |
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Economic Development; April 11, 2023, reported adversely, with |
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favorable Committee Substitute by the following vote: Yeas 8, |
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Nays 1; April 11, 2023, sent to printer.) |
Click here to see the committee vote |
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COMMITTEE SUBSTITUTE FOR S.B. No. 785 |
By: Birdwell |
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A BILL TO BE ENTITLED
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AN ACT
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relating to the ownership of the geothermal energy and associated |
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resources below the surface of land. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 141.003(5), Natural Resources Code, is |
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amended to read as follows: |
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(5) "By-product" means any other element found in a |
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geothermal formation which is brought to the surface, whether or |
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not it is used in geothermal heat or pressure inducing energy |
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generation. The term does not include: |
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(A) a mineral, as defined by Section 75.001, |
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Property Code; or |
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(B) oil, gas, or a product of oil or gas, as |
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defined by Section 85.001. |
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SECTION 2. Subchapter A, Chapter 141, Natural Resources |
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Code, is amended by adding Section 141.004 to read as follows: |
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Sec. 141.004. OWNERSHIP OF GEOTHERMAL ENERGY AND ASSOCIATED |
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RESOURCES. (a) Except as otherwise expressly provided by a |
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conveyance, contract, deed, reservation, exception, limitation, |
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lease, or other binding obligation, the geothermal energy and |
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associated resources below the surface of land are owned as real |
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property by: |
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(1) the landowner; or |
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(2) if the surface estate and the mineral estate of the |
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land have been severed, the owner of the surface estate of the land. |
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(b) Subject to the provisions of this chapter, the property |
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rights described by this section entitle the owner of the |
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geothermal energy and associated resources below the surface of |
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land and the owner's lessee, heir, or assignee to drill for and |
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produce the geothermal energy and associated resources. |
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(c) This section does not apply to minerals dissolved or |
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otherwise contained in groundwater, including in hot brines. |
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SECTION 3. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2023. |
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